SAP NetWeaver 7.0 installation on Windows

Hi,

I want to install SAP NetWeaver 7.0 SR3 on my own system. What hardware and operating system should I buy?

1. I have Windows XP Professional with 2GB RAM. If I install both portal and developer studio,

will it slow down my system since the operating system can only use 3GB?

2. If XP Professional is not good enough can I buy 2008 server or should I go with 2003 server? According to PAM not all components work on 2008 server.

Thanks.